Shipping products from Canada to Amazon’s FBA (Fulfillment by Amazon) warehouses in the USA is a vital step for sellers looking to expand their reach into the American market. Whether you’re an established seller or just starting out, understanding the logistics and processes involved is crucial to ensuring smooth operations and cost-efficiency. In this guide, we will walk you through the key steps to help you streamline your FBA shipments and avoid common pitfalls.

Which One is Better for Canada Citizens: Amazon CA or Amazon US? 

For Canadian sellers, choosing between Amazon.ca and Amazon.com depends on factors like market size, competition, and logistics. Selling on Amazon Canada has the advantage of lower competition, cheaper domestic shipping, and no customs fees. However, the smaller market and fewer product categories may limit growth potential compared to the larger US platform.

Amazon USA provides access to a massive customer base, higher purchasing power, and a broader range of product categories. However, it comes with challenges like higher competition, cross-border shipping costs, and currency conversion. Ultimately, the decision depends on whether sellers prefer a less competitive but smaller market or are willing to handle the complexities of cross-border selling for larger sales opportunities.

Many Canadian sellers eventually sell on both platforms to maximize their reach, using fulfillment services like Amazon’s NARF program to manage cross-border orders more efficiently.

If you have decided to sell from Canada in the USA, we recommend checking out the link below before starting your business: https://oabeans.com/sell-on-amazon-usa-from-canada/ 

FulFillment Methods for Amazon US 

When selling on Amazon US, sellers have several fulfillment methods to choose from, depending on their business needs, resources, and goals. Here are the main fulfillment methods for Amazon US:

Fulfillment by Amazon (FBA)

FBA allows sellers to store inventory in Amazon’s warehouses, where Amazon handles packing, shipping, customer service, and returns. This method gives access to Prime customers, providing faster shipping options, which can increase sales. While convenient and scalable, FBA involves various fees, including storage and fulfillment costs, which may add up, particularly for slow-moving inventory.

Fulfillment by Merchant (FBM)

FBM requires sellers to manage their own storage, packing, and shipping. This option offers more control over the fulfillment process and avoids FBA fees, making it potentially more cost-effective for businesses with established logistics. However, sellers are responsible for customer service and returns, and it may be less appealing to Prime customers due to longer shipping times.

Seller-Fulfilled Prime (SFP)

SFP is a hybrid model where sellers manage their own fulfillment but still offer Amazon Prime benefits like free two-day shipping. Sellers must meet strict performance standards to qualify, and although they avoid FBA fees, maintaining fast shipping can require a strong logistics infrastructure, which can be costly and demanding.

Multi-Channel Fulfillment (MCF)

MCF allows sellers to use Amazon’s fulfillment network for orders from non-Amazon platforms, such as Shopify or eBay. It streamlines logistics for multi-channel sellers, providing fast shipping through Amazon’s system. However, it still incurs storage and fulfillment fees and doesn’t offer Prime benefits for sales made outside of Amazon.

How to Ship Inventories from CA to Amazon.com Warehouses? 

Here’s a breakdown of how to ship your inventory from Canada to Amazon’s US FBA warehouses:

1. Create a Shipping Plan in Seller Central

Log into your Amazon Seller Central account after going to amazon.com and create a shipping plan for your US-bound inventory. Specify the products you’re sending, their quantities, and packaging details. Amazon will assign the destination warehouse(s) in the US for your shipment.

2. Prepare Your Inventory for FBA

Ensure your products are properly labeled and packaged according to Amazon’s FBA guidelines. Items must have scannable barcodes, and they should be packaged in a way that meets Amazon’s requirements for shipping and handling. You may need to re-label products with FNSKU labels, depending on how you’re shipping.

3. Choose a Shipping Method

You can choose to ship by ground (truck freight) or air freight, depending on your timeline and budget. For small shipments, you can use a parcel carrier like UPS or FedEx. For larger shipments, you may opt for Less Than Truckload (LTL) or Full Truckload (FTL) shipping. Consider using Amazon’s partnered carrier program, which offers discounted rates.

4. Handle Customs and Import Documentation

Since you’re shipping internationally, you’ll need to handle customs clearance. Ensure all required customs forms, such as commercial invoices, are properly filled out. You will also need to pay duties and taxes for importing your goods into the US You can hire a customs broker to help with the paperwork and ensure compliance.

5. Work with a Freight Forwarder (Optional)

For larger or more complex shipments, working with a freight forwarder can be beneficial. They can manage the entire shipping process, from picking up your goods to delivering them to Amazon’s fulfillment centers. Freight forwarders also handle customs clearance and ensure that your shipment meets Amazon’s delivery requirements.

6. Monitor Your Shipment

Once your shipment is on its way, monitor its progress to ensure it arrives at the US warehouse without delays. You can track your shipment through Amazon’s Seller Central or through your shipping provider’s tracking system.

7. Check-in and Receive Inventory

Once the shipment arrives at Amazon’s fulfillment centers, it will go through a check-in process. You can track the receiving status in Seller Central to ensure your inventory is properly processed and made available for sale.

Step by Step Guide to Start Selling on Amazon.com from Canada 

Here’s a step-by-step guide to help Canadian sellers start selling on Amazon.com:

1. Register for an Amazon Seller Account

Go to Amazon Seller Central (sellercentral.amazon.com) and click on “Register now” to start the process. Select between an Individual or Professional selling plan. The Individual plan has no monthly fee but charges $0.99 per sale, while the Professional plan costs $39.99 per month with no per-sale fee.

Provide required information including your business name, legal structure, contact information, and bank account details. You’ll also need to submit identification documents for verification.

2. Set Up Your Seller Profile

Include your business name, address, and tax information. Ensure that your business complies with US tax regulations. Set up your bank account for receiving payments and manage your tax settings for US sales tax.

3. Create Product Listings

Identify the products you want to sell and check for competition on Amazon.com. Use the “Add a Product” feature in Seller Central to create listings. You can add products individually or in bulk using flat files.

4. Choose a Fulfillment Method

The most popular fulfillment options in the US are FBA and FBM, but there are also other options called SPF and MCF, which we introduced previously in the article. Consider the size of your business and products, your resources, and long-term goals when choosing a fulfillment method. 

5. Prepare and Ship Inventory

In Seller Central, create a shipping plan specifying the quantity and destination of your products. Label and package your products according to Amazon’s guidelines. Ensure they meet FBA requirements if you’re using FBA. For international shipments, complete customs documentation and pay any applicable duties and taxes. 

6. Manage Your Business

If using FBM, handle customer service, including returns and inquiries. For FBA, Amazon manages this on your behalf. Regularly review your seller performance metrics to ensure compliance with Amazon’s policies and to identify areas for improvement. 

Final Thoughts

Selling on Amazon.com from Canada opens up great opportunities to reach a large U.S. market. To succeed, choose the right fulfillment method to manage your inventory and shipping efficiently. While there are details to handle, such as shipping logistics and customs, the potential for growth is substantial. By using Amazon’s platform effectively, Canadian sellers can expand their reach, attract new customers, and boost their business in the U.S. market.